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Finance Act 2012

Changes over time for: Section 156

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156Societies with no provision for assuring gross sums exceeding £2,000 etcU.K.

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(1)This section applies to a friendly society if its rules make no provision for it to carry on BLAGAB or eligible PHI business, or other long-term business, consisting of—

(a)the assurance of gross sums exceeding £2,000, or

(b)the granting of annuities of annual amounts exceeding £416.

(2)The table in section 155 applies in relation to a friendly society to which this section applies as if, in the final row of that table—

(a)the reference to £500 were a reference to £2,000, and

(b)the reference to £104 were a reference to £416.

(3)If at any time a friendly society to which this section applies amends its rules so as to cease to be such a friendly society, any part of its BLAGAB or eligible PHI business which—

(a)relates to contracts made before that time, and

(b)immediately before that time was exempt BLAGAB or eligible PHI business,

continues to be exempt BLAGAB or eligible PHI business for the purposes of this Part.

(4)If at any time a friendly society to which this section does not apply amends its rules so as to become a friendly society to which this section applies, any part of its BLAGAB or eligible PHI business which—

(a)relates to contracts made before that time, and

(b)immediately before that time was not exempt BLAGAB or eligible PHI business,

continues not to be exempt BLAGAB or eligible PHI business for the purposes of this Part.

(5)If at any time a friendly society to which this section does not apply acquires by way of transfer of engagements or amalgamation from another friendly society any BLAGAB or eligible PHI business which—

(a)relates to contracts made before that time, and

(b)immediately before that time was exempt BLAGAB or eligible PHI business,

that business continues to be exempt BLAGAB or eligible PHI business for the purposes of this Part.

(6)If at any time a friendly society to which this section applies acquires by way of transfer of engagements or amalgamation from another friendly society any BLAGAB or eligible PHI business which—

(a)relates to contracts made before that time, and

(b)immediately before that time was not exempt BLAGAB or eligible PHI business,

that business continues not to be exempt BLAGAB or eligible PHI business for the purposes of this Part.

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